More work performance through transparent incentives

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 (Image: Pixabay CC0)
(Image: Pixabay CC0)

Research team investigates the effectiveness of promised rewards

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Bonuses and promotions - companies use incentives like these to motivate their employees to perform well. At the same time, many managers exercise discretion as to whom they reward, when and how. Researchers from the University of Göttingen, Bard College Berlin and the University of Frankfurt have investigated how the willingness of employees to perform changes when they expect a possible disappointment when a reward is promised. They found that vague formulations and criteria in the incentive system can have a negative impact. From this, the research team deduced what makes incentives effective. The results of the experimental study have been published in the journal Management Science. ...
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